Solar power generation for private use South Korea 2023-2024

There were more than 773 gigawatt-hours of solar power generated for private use in South Korea in May 2024. The amount of solar power generated for private use saw a significant increase in the three months prior. As summers continue to grow warmer, the household demand for electricity is expected to continue rising.

Rising energy prices and subsidization

Rising global energy prices have made it difficult for households to afford the price of utilities. The South Korean government introduced a ceiling on the system marginal price (SMP) to help contain prices in late 2022, but households have started looking at installing private solar panels to meet some of their own energy needs. The government has also subsidized these efforts, with actual deductibles of solar panel installations in Seoul costing almost four times less on average than the actual installation price.

Reliance on fossil fuels

Due to the lack of natural resources, South Korea imports over 90 percent of its energy, which primarily comes from traditional fuel sources. To reduce this overseas dependency, the country has invested in solar energy, installing around 2.7 gigawatts worth of solar power generators in 2023 alone. Given the overreliance on fossil fuels and increasing energy demand, the shift towards solar power is becoming increasingly important in South Korea's pursuit of energy sustainability and security.